the reason why people are afraid to invest in crypto currency because they are afraid of losing their money, investing in crypto currency has a big risk and if you are wrong in making a decision then you will lose
The main reason i think is the volatility of the crypto market, any news can effect the price of cryptocurrency. Also agreeing with you on the point that it is a very risky investment and if you are new to crypto world then the risk increase.
If they are afraid of those reasons, (volatility, risk taking) then they are really big fools, no business does exist without risk, somehow you will have to take risk of earning and losing so they should have guts to take risk if they want to earn, volatile is the best advantage of bitcoin investment according to me as it gives us chance to buying low and selling high, so its all lack of knowledge nothing else soon they will be confident about bitcoin investment because we are working well to promote bitcoin all over the world.